Ethereum Demand Rebounds on ETFs, Whales and Breakout

Ethereum’s market backdrop strengthened this week as fresh ETF inflows, large onchain allocations, and a decisive breakout on the daily chart aligned at the same time. New data shows institutional appetite returning, whale positioning shifting, and ETH price action moving through a key resistance zone.

These developments arrived together after a volatile start to December, offering a clearer picture of renewed momentum around Ethereum from both regulated funds and deep-pocketed holders.

Ethereum ETF Sees $57.6M Inflow as BlackRock Leads with $56.5M Buy

Ethereum exchange-traded funds saw a net inflow of $57.6 million on December 10, according to new data. The bulk of the capital came from BlackRock, which purchased $56.5 million worth of ETH through its ETF product (ETHA). This marked the strongest single-day inflow in over a week.

Ethereum ETF Daily Flows Table. Source: Farside

Grayscale’s Ethereum Trust (ETHE) also showed a modest net inflow of $7.9 million after several days of outflows. Meanwhile, Fidelity’s FETH posted a $6.8 million outflow, softening the overall gains but not reversing them.

The update highlights a potential shift in sentiment after a volatile start to the month. From December 1 to December 5, most Ethereum ETFs recorded consistent outflows, particularly Grayscale’s products, which faced heavy redemptions.

By contrast, BlackRock’s aggressive position appears to reflect renewed interest from institutional allocators. Its inflows have remained steady since the launch of its fund, with ETHA drawing over $230 million in total net inflows to date.

The current fee structures across funds vary between 0.15% and 0.25%, with Grayscale’s ETHE remaining the highest at 2.5%. Only Grayscale and Franklin Templeton have confirmed ETH staking enabled on their funds. That may also play a role in investor preferences as yield-based strategies return to the spotlight.

The 10-day trend shows net ETH ETF flows turning positive after a week of mixed to negative results. December 10 marked a clear pivot in that pattern, supported almost entirely by BlackRock’s allocation.

Whale Rotates From Bitcoin Into Ethereum in Large Two-Week Move

Onchain records show a major wallet shifted more than $132.5 million in Bitcoin into about $140.2 million worth of Ethereum over the past two weeks, according to data shared by analyst Ted Pillows. The transactions include a series of swaps routed through THORChain, where the address repeatedly exchanged sizable BTC amounts for ETH.

Whale BTC to ETH Swaps. Source: Ted Pillows

The activity appears across multiple blocks, with each swap moving between roughly 35 and 47 BTC at a time. The receiving address accumulated more than 11,000 ETH through these operations, based on the displayed transaction logs.

Although whale flows do not describe market direction on their own, the wallet’s rotation highlights a period when large holders increased exposure to Ethereum while reducing Bitcoin holdings. The pattern adds to recent data showing renewed interest in ETH among bigger market participants.

Ethereum Breaks Above Key Resistance as Rally Extends

Meanwhile, Ethereum’s price pushed sharply higher on the daily chart, breaking through a major resistance zone that had capped rallies for weeks. A chart shared by trader Gordon Gekko shows ETH reclaiming the 3,600 to 3,800 dollar area after bouncing from support near 2,600 dollars earlier in the quarter.

Ethereum Breakout Daily Chart. Source: Gordon on X

After the rebound from that lower band, candles turned steadily higher, with only brief pauses before each leg up. Once price cleared the horizontal resistance zone, the move accelerated, and ETH climbed to new local highs on the chart.

The structure now shows a clean transition from a prior downtrend into a strong upside trend, with former resistance acting as a new support band beneath current price. The breakout level around 3,600 dollars stands out as the key area to watch if volatility increases in the sessions ahead.